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The first three months of this year saw Santos produce 13.8 million barrels of oil equivalent, up from 12.5Mboe in the previous corresponding period.
Sales revenue also rose 33.5% to $A621.8 million from $465.9 million, which Santos managing director John Ellice-Flint attributed to high oil prices.
“It is pleasing to report higher first quarter production, especially as our Western Australian oil production was impacted by cyclone activity,” he said.
“On the other hand, Western Australian gas production was up strongly, reflecting the start-up of the John Brookes field in September last year.”
Australia’s third-largest petroleum company has been forced to stop and restart its 70,000 bbl per day Mutineer-Exeter oil platform several times over the past couple of months due to cyclone activity in the area.
Oil production of 3.22Mbbls during the quarter was 24% lower than the December 2005 quarter, Santos said. This loss was attributed to lower Carnarvon Basin output reflecting the impact of cyclone activity and natural field decline.
As a result, first quarter oil sales revenue decreased 28% to $254.1 million, partially offset by higher oil prices.
While overall oil sales were down, sales of gas, ethane and liquefied natural gas were 3% higher than the previous corresponding period to 51.4 petajoules. Revenue rose 5% to $194.3 million, reflecting higher gas prices.
The higher production was thanks to the start-up of production at John Brookes last year, and the Casino and Bayu-Undan LNG projects in the March quarter. Contribution from the Fairview field acquired during the third quarter of 2005 offset lower production from the Cooper Basin and the United States.
Looking ahead, Santos said its second quarter report will include the first full gas output from the Casino field offshore Victoria, and LNG sales from the Bayu-Undan project in the Timor Sea, in which Santos is a joint venture partner.
Other new projects coming on-stream for Santos this year include the Oyong and Maleo oil and gas projects in Indonesia and production from the new Cooper Basin oil program.
